INVENTORY AND ORDER MANAGEMENT SIMPLIFIED

YOUR E-COMMERCE BUSINESS CENTRALIZED

June 5th, 2016 By Tamoh

Inventory and orders management for Xero

Xero is a beautiful cloud based accounting system that complements Stock&Buy inventory management workflows.
The integration allows Small to Medium sized businesses to automatically link sales and purchase orders along with stock adjustments and payment to Xero, eliminating the manual data entry that wastes time and often introduces critical errors between separate systems. The integration between Xero and Stock&Buy cloud based services will facilitate an end to end solution that streamlines businesses by fully automating the inventory and orders management for Xero operations.

Installation

The Xero integration for Stock&Buy is very straight forward and can be completed within a minute or two. This support article describes the add-on installation in great details.

How does the integration work?

Stock&Buy synchronizes all your business data with Xero where it makes sense. This allows you to get all your accounting information up to date by doing very little. All you need is to setup the integration and let us do the heavy lifting for you. To better illustrate how the integration between Stock&Buy and Xero works, let’s consider an example of a small business and get an idea one how the Stock&Buy data is translated into Xero bills, invoices and payments.
Dina owns a small chairs shop. Dina goes through the installation instructions and gets all the required Xero account ready for integration. She creates the following accounts:
accounts

Once the integration is setup. Stock&Buy will be able to push all your transactions to the corresponding accounts.

Purchase orders

Purchase orders is usually the very first entry point to a business inventory. Dina orders a set of 10 chairs from her supplier. She places a purchase order on Stock&Buy as shown below:

po-snb1

To keep her records in Xero accurate, Dina runs a synchronization between Stock&Buy and Xero via the Xero add-on in Stock&Buy.

xero-sync

The purchase order is successfully sent over to Xero as shown below.

po-xero

A week later, Dina receives the 10 chairs she orders. She heads over to Stock&Buy and marks the purchase order as fully received. Once the order is fully received, the chairs product stock level will automatically go up to 10 units available in stock. Running a Xero synchronization will update both the purchases and the stock on hand accounts in Xero

po-closed-xero

Sales orders

Dina sells 6 chairs out of the 10 which are in stock. She records a sales order in Stock&Buy and marks the order as Invoiced, she also records a full payment for the order made.
so-snb
As always, Dina is keen in keeping all her online systems up to date. She heads over to the Xero add-on in Stock&Buy and performs a sync to make sure the invoice is properly recorded in Xero as well.
so-xero

As shown above, each and every sales order will be recorded on Dina’s sales account.

Once the sale order is shipped and the goods are out of inventory, Stock&Buy will decrease the total stock of all goods inside the order. Running a sync with Xero will record the following nil bill:

so-closed-xero

This bill decrease Dina’s Stock on Hand account and records the same value in her Cost of Goods sold account. The total value pushed to these accounts is the moving average cost of a unit multiplied by the total units sold.

Stock adjustments

While walking around her warehouse, Dina finds out that there are a couple of chairs which are broken. This couple of chairs has incurred a damage which rendered them unusable and can therefore not be sold. Dina goes over to Stock&Buy and records an adjustment to account for her loss:
adj-snb

Just like purchase and sales orders, inventory adjustments are also synced to Xero as bills to make sure the Stock on hand and COGS accounts are kept up to date.
adj-xero

Activity feed

We believe it is very important for you to know the details of what’s been ongoing between your Stock&Buy and Xero accounts so we decided to record just about all the interactions between the two systems. You can find those details in your activity feed (below is Dina’s activity feed)
dina-activity

We hope you will like these new additions to Stock&Buy and as always, please don’t hesitate to drop us a line.

Ditch the spreadsheets, paper based and manual book keeping of your orders and inventory